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IOSR Journal of Business and Management (IOSR-JBM) e-ISSN: 2278-487X, p-ISSN: 2319-7668. Volume 17, Issue 7.Ver. I (July 2015), PP 01-07 www.iosrjournals.org DOI: 10.9790/487X-17710107 www.iosrjournals.org 1 | Page A Study of Employee Satisfaction and Its Impact on Employee Retention in Retail Sector By:Prof. (Dr.) Parul Jhajharia,Havisha Gupta Abstract: Employee satisfaction is a measure of how happy workers are with their job and working environment. Keeping morale high among workers can be of tremendous benefit to any company because happy workers are more likely to produce more, take fewer days off and stay loyal to the company. There are many factors in improving or maintaining high employee satisfaction. But before that, it is important to measure the satisfaction levels of the employees. Hence, this project aims at measuring Employee Satisfaction and its impact on employee retention .The projects conclusion includes the final questionnaire which can be used for the annual employee satisfaction survey in the company and an explanation of all the parameters used with their respective reasons. Recommendations which were drawn from the study and limitations of the research have been provided at the end. Key Words: Employee satisfaction, employee retention,job evaluation. I. Introduction Retail is the sale of goods and services from one person to end user. A retailer purchases goods or products in large quantities from manufacturers or directly through a wholesaler, and then sells smaller quantities to the consumer for a profit. Retailing can be done either online or in fixed locations . Retailing includes subordinated services, such as delivery. Shops may be on shopping streets or may be on residential streets with few or no houses or in a shopping malls.Online retailing, a type of ecommerce used for business-to-consumer (B2C) transactions and mail order, are forms of non-shop retailing. Shopping generally refers to the buying of products. Sometimes this is done to buy necessary goods such as food and cloths; sometimes it is done as a pleasure activity. Pleasure shopping often involves window shopping (just looking, not buying) and this and does not always result in a purchase. Employee satisfaction is considered as a key driver of employee retention and employee satisfaction.Satisfied employees are a prerequisite for increased productivity ,quality work and customer service.Some people like to work and they find working an important part of their lives. And on the other hand some people find work unpleasant and work only because they have to.Job satisfaction tells how much people like their jobs. Job satisfaction is the most studied field of organizational behavior.Companies typically measure employee satisfaction with an annual survey, or a rolling survey in which a specified percentage of randomly chosen employees is surveyed each month. For managers, to have a happy enthusiastic workforce will help him in achieving individual and organizations performance. But managers job is not only to hire best candidates but also retain them. Most certainly one cannot retain all the best employees but can definitely reduce loss. Reducing employee turnover is most important for organizations and to maintain an ideal staff takes a lot of efforts and resources of the organization and if that is lost it hampers organizations success. Therefore, every organization must treat their employees as ends and not means to ends because they add value to the organization. There are no fixed practices that show the relevance and significance as to how to retain employees and keep them committed towards the organization because employers lay different emphasis on different variables depending on what suits their organization best. Hiring employees is just the beginning to creating a strong committed work force. Objectives To measure the satisfaction level of the employees. To study the employees perception towards organization. To study the attitude of the employees towards their work. To identify the factors that motivates the employees. To study best practices and methods to enhance commitment and employee retention. http://en.wikipedia.org/wiki/Saleshttp://en.wikipedia.org/wiki/Manufacturinghttp://en.wikipedia.org/wiki/Wholesalehttp://en.wikipedia.org/wiki/Consumerhttp://en.wikipedia.org/wiki/Shopping_mallhttp://en.wikipedia.org/wiki/Shopping_mallhttp://en.wikipedia.org/wiki/Shopping_mallhttp://en.wikipedia.org/wiki/Electronic_commercehttp://en.wikipedia.org/wiki/Business-to-consumerhttp://en.wikipedia.org/wiki/Mail_orderhttp://en.wikipedia.org/wiki/Shoppinghttp://en.wikipedia.org/wiki/TradeA Study of Employee Satisfaction and Its Impact on Employee Retention in Retail Sector DOI: 10.9790/487X-17710107 www.iosrjournals.org 2 | Page Methodology Research Design Exploratory research design is used. Research Instrument The method used for data collection is the questionnaire method. Standardize Questionnaire is used for analyzing different variables. Sampling Technique The technique adopted here simple random convenience sampling was adopted. Scaling Technique Likert type scaling is adopted for this study . Likert type scale consists of a number of statements which express either a favourable or unfavorable attitude towards the given object to which the respondents is asked to react. II. Literature Review Ekta Sinha ,Findings of this study focused on three factors namely Behavioral, organizational and environmental factors. These factors attempted to find the relation between these factors and employee job satisfaction and it was found that all the three factors have a positive impact on job satisfaction. The study concluded that organizational factors are the most important aspect for job satisfaction of the employees in a company i.e. if the employees are treated equally and fairly and they are properly supervised, their level of satisfaction can be increased towards their job. The research design used in the research was descriptive. This research was used because it is a good structured instrument for collection of data. The research method used was survey method. The research technique used was Questionnaire. In all the above research, Researchers have found that for the growth of any organization employee satisfaction is very important. A few factors that were prominent to the employee satisfaction in the researches before were income, promotion, feeling of fulfillment, work environment, relations with superior.Daljeet Singh Wadhwa, Manoj Verghese & Dalvinder Singh Wadhwa Study concluded that the overall employees with special reference to KRIBHCO,found that with respect to experience the satisfaction level of the employees differ significantly regarding salary. It could also be concluded that there was no difference of satisfaction level regarding training opportunities between different age groups. Conclusion could also be made that between gender groups there exists no significant difference in satisfaction level of employees regarding job rotation policy of the company.Muhammad Rizwan,Waqas Mehmood Khan. Workplace, facets of employees and job discipline are related to working situations. Organization tasks and job activities training, capabilities, utilization, health, secure and working period is deal in it. Employees want relax and ease surroundings and these factors regulate on employee satisfaction. Organization gains employee satisfaction by supplied this environment. Physical job conditions primarily ascribed on low job satisfaction levels.Caterina C. Bulgarella.The empirical literature summarized the criticality of the relationship between employee attitudes and customer satisfaction. . Employees can strongly contribute to an organizations success by having a customer-centric approach in their work and in their work-related interactions. However, they are more likely to do so if they are satisfied with their job. Employee satisfaction is the result of a holistic approach that involves strategic steps such as: Service Climate ,Supportive Management Work Effort, Job Satisfaction, Employee Service Quality.Dr. L.W Poter.While employee satisfaction and employee engagement are both critical to maintaining a happy and productive workforce, achieving satisfaction without engagement will have significantly less impact on business results. After all, engaged employees are emotionally committed to working hard, demonstrating initiative, and expending extra discretionary effort and doing so in alignment with strategic priorities to move the organization forward. Its no wonder that employee engagement has been associated with higher workforce productivity and customer satisfaction as well as lower absenteeism and turnover. To start reaping bottom-line benefits that a truly engaged workforce promises, organizations must adopt a more dynamic approach to both satisfaction and engagement that incorporates more frequent measurements not just a once a-year snapshot to identify trends and create effective change. By taking the satisfaction and engagement pulse of employees periodically throughout the year, HR leaders can develop and implement engagement initiatives and management strategies that take into account not only employees present perceptions, but also their past experiences and future expectations. The end result is a more sustained increase in employee engagement that drives competitive success and bottom-line results. A Study of Employee Satisfaction and Its Impact on Employee Retention in Retail Sector DOI: 10.9790/487X-17710107 www.iosrjournals.org 3 | Page Analysis 1)Inference: It shows that 64% of the employees belong to the male category and 36 % of the employees belong to the female category. 2)Inference: The pie chart shows that 52% of the employees belong to 18-25 age group category following 30 % of the employees have attained the age of 26-35 Years, 14 % belong to the age group of 36-45 Years and 2% of the employees belong to the category of 46-55 and 56 or above 3)Inference: This pie chart shows experience of employees i.e., 30%of the employees is below 1 year, 40 % of the employees are between 1-3 Years, 16% of the employees are between 4-6 Years, and the rest fall in the category of 7-9 Years and 10-12 Years. A Study of Employee Satisfaction and Its Impact on Employee Retention in Retail Sector DOI: 10.9790/487X-17710107 www.iosrjournals.org 4 | Page 4)Inference: The graph shows income level of the employees, i.e. 18% of employees is in less than 5000, 56% of employees are in 5001-10000; only 6% belong to the category of above 20001. 5)Inference: This graph shows that the employees are satisfied by the benefits like employee leave benefits, salary and compensation and by long term care Insurance the most. A Study of Employee Satisfaction and Its Impact on Employee Retention in Retail Sector DOI: 10.9790/487X-17710107 www.iosrjournals.org 5 | Page 6)Inference: This diagram shows that the employees agree to an environment where different individuals work together efficiently and that they focus on providing excellent customer service . 7)Inference: The graph shows that the employees agree that they are satisfied by the way superiors and co workers communicate with them. 8)Inference: The chart shows that employees agree to the point that they have received all the training they need to effectively carry out their job. A Study of Employee Satisfaction and Its Impact on Employee Retention in Retail Sector DOI: 10.9790/487X-17710107 www.iosrjournals.org 6 | Page 9)Inference This shows that employees go to their superior if they have any grievance and their grievance are resolved effectively and timely. 10)Inference: The graph shows the performance measure are evaluated on quarterly basis. A Study of Employee Satisfaction and Its Impact on Employee Retention in Retail Sector DOI: 10.9790/487X-17710107 www.iosrjournals.org 7 | Page 11)Inference :This shows that most of the employees agree that concern is shown for their health and safety at work followed by their job is fulfilling, their organization meets their expectations and there is good cooperation between the members of their team III. Findings It shows that 64% of the employees belong to the male category and 36 % of the employees belong to the female category. It shows that 52% of the employees belong to 18-25 age group category following 30 % of the employees have attained the age of 26-35 Years, 14 % belong to the age group of 36-45 Years and 2% of the employees belong to the category of 46-55 and 56 or above It shows experience of employees i.e., 30%of the employees is below 1 year, 40 % of the employees are between 1-3 Years, 16% of the employees are between 4-6 Years, and the rest fall in the category of 7-9 Years and 10-12 Years. It shows income level of the employees, i.e. 18% of employees is in less than 5000, 56% of employees are in 5001-10000; only 6% belong to the category of above 20001. It shows that the employees are satisfied by the benefits like employee leave benefits, salary and compensation and by long term care Insurance the most It shows that the employees agree to foster an environment where diverse individuals can work together effectively and that they focus on providing excellent customer service . It shows that the employees agree that they are satisfied by the way co-workers and supervisors communicate with them. It shows that employees agree to the point that they have received all the training they need to effectively carry out their job , the most along with that their appraisal helps them to plan future and they are provided with all the tools and equipments to do their job It shows that employees agree to the point that they can go to their supervisor if they have any problem followed by their problems are resolved effectively and they meet regularly to discuss important issues It shows that the performance measure are evaluated on quarterly basis and 25 employees agree to this followed by their performance is reviewed regularly It shows that most of the employees agree to this that concern is shown for their health and safety at work followed by their job is fulfilling, their organization meets their expectations and there is good cooperation between the members of their team IV. Conclusion One of the biggest impacts on a company's productivity is the satisfaction of the employees.If the high performing employees leave the company it is even more difficult to attract new talent if your company is not satisfying the employees. This survey provides valuable input which are directly given by employees,it provides an understanding that how the employees perceive the organization. It is a guide to help those who conduct an employee opinion survey. Job provides an opportunity for the employees to exercise their skills at work place. From analysis it was observed that was there is a scope for the improvement of working conditions. References . Aldrich, H. (1999). Organizations evolving. London: Sage Publications. . Armstrong, M. (2000). Strategic human resource management: A guide to action. London, Kogan Page Publishers. . Cranny, C.J., Smith, P.C., & Stone, E.F. (1992). Job satisfaction: How people feel about their jobs and how it affects their performance. New York: Lexington. . Hunter, W., & Tietyen, D. (1997). Business to business marketing: Creating a community of customers. . Lincolnwood-Illinois, McGraw-Hill Professional. . Kelley, T. (2005). Employee satisfaction results in improved profitability, retrieved April 4th, 2008 available . Miller, J. L. (2006). Coach Yourself to Succeed @ Work: How to Achieve Optimal Performance and Job Satisfaction. CA, Dorrance Publishing Co. . Moyes, G. D., & Shao, L. P., Newsome, M. (2008). Comparative analysis of employee job satisfaction in the accounting profession. Journal of Business & Economics Research, 6(2), 65-81. . Ozdevecioglu, M., (2000). Orgutsel vatandaslik davranisi ile universite ogrencilerinin bazi demografik ozellikleri ve akademik basarilari arasindaki iliskilerin belirlenmesine yonelik bir arastirma. Erciyes Universitesi Iktisadi ve Idari Bilimler Fakultesi Dergisi, 20(1), 117-135. . International Journal of Modern Engineering Research